The below table shows a list Of the Best Solution Oriented Mutual Funds Based on AUM, NAV, and minimum SIP.
| Name | AUM (Cr) | NAV (Rs) | Minimum SIP (Rs) |
| SBI Magnum Children’s Benefit Fund-Investment Plan | 2,571.71 | 43.21 | 500 |
| ICICI Pru Child Care Fund-Gift Plan | 1,364.35 | 345.71 | 500 |
| Aditya Birla SL Bal Bhavishya Yojna | 1,128.74 | 22.2 | 500 |
| Axis Children’s Gift Fund-Compulsory Lock in | 904.39 | 28.97 | 100 |
| Axis Children’s Gift Fund-No Lock in | 904.39 | 29.48 | 100 |
| Tata Young Citizen Fund | 382.81 | 71.29 | 500 |
| SBI Magnum Children’s Benefit Fund-Savings Plan | 120.08 | 114.91 | 500 |
| Union Children’s Fund | 57.68 | 12.46 | 500 |
| LIC MF Children’s Fund | 17.27 | 38.22 | 1000 |
Introduction To Top Solution Oriented Mutual Funds
SBI Magnum Children’s Benefit Fund-Investment Plan
SBI Magnum Children’s Benefit Fund-Investment Plan is a Solution Oriented Mutual Fund scheme from SBI Mutual Fund. This fund has been in existence for 3 years and 11 months, having been launched on 29/09/2020.
SBI Magnum Children’s Benefit Fund-Investment Plan as a Solution Oriented Mutual Fund fund, manages assets valued at ₹2571.71 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of 28.25%. This fund has an exit load of 2% and an expense ratio of 0.76%. According to SEBI, it falls under the Very High-risk category. The fund’s asset allocation comprises: Equity – 74.32%, No Debt, and Other – 25.68%.
ICICI Pru Child Care Fund-Gift Plan
ICICI Pru Child Care Fund-Gift Plan is a Solution Oriented Mutual Fund scheme from ICICI Prudential Mutual Fund. This fund has been in existence for 11 years and 09 months, having been launched on 01/01/2013.
ICICI Pru Child Care Fund-Gift Plan as a Solution Oriented Mutual Fund fund, manages assets valued at ₹1364.35 crore. Over the past 5 years, it has achieved a Compound Annual Growth Rate (CAGR) of 19.16%. This fund has no exit load and an expense ratio of 1.45%. According to SEBI, it falls under the Very High-risk category. The fund’s asset allocation comprises: Equity – 84.43%, Debt – 14.03%, and Other – 1.55%.
Aditya Birla SL Bal Bhavishya Yojna
Aditya Birla SL Bal Bhavishya Yojna is a Solution Oriented Mutual Fund scheme from Aditya Birla SL Mutual Fund. This fund has been in existence for 5 years and 7 months, having been launched on 11/02/2019.
Aditya Birla SL Bal Bhavishya Yojna as a Solution Oriented Mutual Fund fund, manages assets valued at ₹1128.74 crore. Over the past 5 years, it has achieved a Compound Annual Growth Rate (CAGR) of 17.32%. This fund has no exit load and an expense ratio of 0.64%. According to SEBI, it falls under the Very High-risk category. The fund’s asset allocation comprises: Equity – 98.31%, No Debt, and Other – 1.69%.
Axis Children’s Gift Fund-Compulsory Lock in
Axis Children’s Gift Fund-Compulsory Lock in is a Solution Oriented Mutual Fund scheme from Axis Mutual Fund. This fund has been in existence for 8 years and 10 months, having been launched on 08/12/2015.
Axis Children’s Gift Fund-Compulsory Lock in as a Solution Oriented Mutual Fund fund, manages assets valued at ₹904.39 crore. Over the past 5 years, it has achieved a Compound Annual Growth Rate (CAGR) of 15.67%. This fund has no exit load and an expense ratio of 0.64%. According to SEBI, it falls under the Very High-risk category. The fund’s asset allocation comprises: Equity – 73.86%, Debt – 25.28%, and Other – 0.85%.
Axis Children’s Gift Fund-No Lock in
Axis Children’s Gift Fund-No Lock in is a Solution Oriented Mutual Fund scheme from Axis Mutual Fund. This fund has been in existence for 8 years and 10 months, having been launched on 08/12/2015.
Axis Children’s Gift Fund-No Lock in as a Solution Oriented Mutual Fund fund, manages assets valued at ₹904.39 crore. Over the past 5 years, it has achieved a Compound Annual Growth Rate (CAGR) of 15.88%. This fund has an exit load of 3% and an expense ratio of %. According to SEBI, it falls under the Very High-risk category. The fund’s asset allocation comprises: Equity – 73.86%, Debt – 25.28%, and Other – 0.85%.
Tata Young Citizen Fund
Tata Young Citizen Fund is a Solution Oriented Mutual Fund scheme from Tata Mutual Fund. This fund has been in existence for 11 years and 09 months, having been launched on 02/01/2013.
Tata Young Citizen Fund as a Solution Oriented Mutual Fund fund, manages assets valued at ₹382.81 crore. Over the past 5 years, it has achieved a Compound Annual Growth Rate (CAGR) of 22.7%. This fund has an exit load of 1% and an expense ratio of 1.13%. According to SEBI, it falls under the Very High-risk category. The fund’s asset allocation comprises: Equity – 94.36%, No Debt, and Other – 5.64%.
SBI Magnum Children’s Benefit Fund-Savings Plan
SBI Magnum Children’s Benefit Fund-Savings Plan is a Solution Oriented Mutual Fund scheme from SBI Mutual Fund. This fund has been in existence for 11 years and 09 months, having been launched on 07/01/2013.
SBI Magnum Children’s Benefit Fund-Savings Plan as a Solution Oriented Mutual Fund fund, manages assets valued at ₹120.08 crore. Over the past 5 years, it has achieved a Compound Annual Growth Rate (CAGR) of 14.41%. This fund has an exit load of 3% and an expense ratio of 0.85%. According to SEBI, it falls under the Very High-risk category. The fund’s asset allocation comprises: Equity – 23.54%, Debt – 71.77%, and Other – 4.69%.
Union Children’s Fund
Union Children’s Fund is a Solution Oriented Mutual Fund scheme from Union Mutual Fund. This fund has been in existence for 10 months, having been launched on 19/12/2023.
Union Children’s Fund as a Solution Oriented Mutual Fund fund, manages assets valued at ₹57.68 crore. This fund has no exit load and an expense ratio of 0.86%. According to SEBI, it falls under the Very High-risk category. The fund’s asset allocation comprises: Equity – 92.72%, Debt – 0.05%, and Other – 7.23%.
LIC MF Children’s Fund
LIC MF Children’s Fund is a Solution Oriented Mutual Fund scheme from LIC Mutual Fund. This fund has been in existence for 11 years and 09 months, having been launched on 16/01/2013.
LIC MF Children’s Fund as a Solution Oriented Mutual Fund fund, manages assets valued at ₹17.27 crore. Over the past 5 years, it has achieved a Compound Annual Growth Rate (CAGR) of 16.15%. This fund has no exit load and an expense ratio of 1.7%. According to SEBI, it falls under the Very High-risk category. The fund’s asset allocation comprises: Equity – 88.68%, Debt – 8.95%, and Other – 2.37%.
What Is Solution Oriented Mutual Funds?
Solution-oriented mutual funds are investment schemes designed to address specific financial goals or life events, such as retirement or children’s education. They combine various asset classes to create a diversified portfolio tailored to achieve these objectives.
These funds often follow a structured approach with predefined investment strategies, automatically adjusting their asset allocation as the target date approaches. This gradual shift from growth-oriented to more conservative investments helps manage risk and aligns with the fund’s objective.
Solution-oriented mutual funds are beneficial for investors seeking a hands-off approach to financial planning. By providing a clear path toward a specific goal, they simplify investment decisions and offer a disciplined strategy to meet long-term financial needs.
Features Of Best Solution Oriented Mutual Fund
The main features of the best solution-oriented mutual fund include a clear investment objective, a well-defined asset allocation strategy, a proven track record of performance, and low fees. These characteristics ensure effective management toward achieving specific financial goals.
- Clear Investment Objective: The fund should have a well-defined goal, such as retirement or education, which guides its investment strategy. This clarity helps ensure that the fund’s approach aligns with your financial objectives and time horizon.
- Well-Defined Asset Allocation Strategy: An effective solution-oriented fund will have a structured asset allocation plan that adjusts over time. This strategy balances growth and risk, transitioning from aggressive to conservative investments as the target date approaches, ensuring alignment with long-term goals.
- Proven Track Record of Performance: The best funds demonstrate consistent historical performance that aligns with their objectives. A strong track record indicates effective management and reliability in achieving targeted returns, though past performance does not guarantee future results.
- Low Fees: Low fees are crucial for maximizing net returns. The best funds have a competitive fee structure with transparent management and administrative costs, ensuring that expenses do not erode the benefits of the investment significantly.
Top Solution Oriented Mutual Funds In India Based On Expense Ratio
The table below shows the Best-performing Solution Oriented Mutual Funds based on the highest to lowest expense ratio.
| Name | Expense Ratio (%) | Minimum SIP (Rs) |
| Tata Young Citizen Fund | 2.18 | 500 |
| LIC MF Children’s Fund | 1.7 | 1000 |
| ICICI Pru Child Care Fund-Gift Plan | 1.45 | 500 |
| Axis Children’s Gift Fund-Compulsory Lock in | 1.23 | 100 |
| Axis Children’s Gift Fund-No Lock in | 1.23 | 100 |
| Union Children’s Fund | 0.86 | 500 |
| SBI Magnum Children’s Benefit Fund-Savings Plan | 0.85 | 500 |
| SBI Magnum Children’s Benefit Fund-Investment Plan | 0.76 | 500 |
| Aditya Birla SL Bal Bhavishya Yojna | 0.64 | 500 |
Solution Oriented Mutual Fund Based On 3Y CAGR
The table below shows the Best Solution Oriented Mutual Funds Based on the Highest 3 Year CAGR.
| Name | CAGR 3Y (%) | Minimum SIP (Rs) |
| SBI Magnum Children’s Benefit Fund-Investment Plan | 28.25 | 500 |
| ICICI Pru Child Care Fund-Gift Plan | 19.22 | 500 |
| Tata Young Citizen Fund | 16.71 | 500 |
| Aditya Birla SL Bal Bhavishya Yojna | 14.83 | 500 |
| LIC MF Children’s Fund | 13.7 | 1000 |
| SBI Magnum Children’s Benefit Fund-Savings Plan | 13.53 | 500 |
| Axis Children’s Gift Fund-No Lock in | 10.09 | 100 |
| Axis Children’s Gift Fund-Compulsory Lock in | 9.85 | 100 |
Best Solution Oriented Mutual Funds Based On Exit Load
The table below shows Best Performing Solution Oriented Mutual Funds In India Based on Exit Load, i.e., the fee that the AMC charges investors when they exit or redeem their fund units.
| Name | AMC | Exit Load (%) |
| SBI Magnum Children’s Benefit Fund-Savings Plan | SBI Funds Management Limited | 3 |
| Axis Children’s Gift Fund-No Lock in | Axis Asset Management Company Ltd. | 3 |
| SBI Magnum Children’s Benefit Fund-Investment Plan | SBI Funds Management Limited | 2 |
| Tata Young Citizen Fund | Tata Asset Management Private Limited | 1 |
| Union Children’s Fund | Union Asset Management Company Pvt. Ltd. | 0 |
| ICICI Pru Child Care Fund-Gift Plan | ICICI Prudential Asset Management Company Limited | 0 |
| Aditya Birla SL Bal Bhavishya Yojna | Aditya Birla Sun Life AMC Limited | 0 |
| LIC MF Children’s Fund | LIC Mutual Fund Asset Management Limited | 0 |
| Axis Children’s Gift Fund-Compulsory Lock in | Axis Asset Management Company Ltd. | 0 |
Solution Oriented Mutual Funds Returns
The table below shows Solution Oriented Mutual Funds Returns based on 1-year returns.
| Name | Absolute Returns – 1Y (%) | Minimum SIP (Rs) |
| SBI Magnum Children’s Benefit Fund-Investment Plan | 41.79 | 500 |
| ICICI Pru Child Care Fund-Gift Plan | 35.19 | 500 |
| Tata Young Citizen Fund | 29.82 | 500 |
| Aditya Birla SL Bal Bhavishya Yojna | 28.55 | 500 |
| LIC MF Children’s Fund | 27.79 | 1000 |
| Axis Children’s Gift Fund-No Lock in | 23.15 | 100 |
| Axis Children’s Gift Fund-Compulsory Lock in | 22.9 | 100 |
| SBI Magnum Children’s Benefit Fund-Savings Plan | 21.96 | 500 |
Historical Performance Of Solution Oriented Mutual Fund
The table below shows Historical Performance Of Solution Oriented Mutual Funds based on 5-Year return
| Name | CAGR 5Y (%) | Minimum SIP (Rs) |
| Tata Young Citizen Fund | 22.7 | 500 |
| ICICI Pru Child Care Fund-Gift Plan | 19.16 | 500 |
| Aditya Birla SL Bal Bhavishya Yojna | 17.32 | 500 |
| LIC MF Children’s Fund | 16.15 | 1000 |
| Axis Children’s Gift Fund-No Lock in | 15.88 | 100 |
| Axis Children’s Gift Fund-Compulsory Lock in | 15.67 | 100 |
| SBI Magnum Children’s Benefit Fund-Savings Plan | 14.41 | 500 |
Factors To Consider When Investing In Solution Oriented Mutual Funds
The main factors to consider when investing in solution-oriented mutual funds include understanding your financial goals, assessing fund performance and fees, evaluating the fund manager’s expertise, and reviewing the fund’s asset allocation strategy. These elements help ensure alignment with your investment objectives.
- Understanding Your Financial Goals: Clarify your specific financial objectives, such as retirement or education, to select a fund aligned with your needs. The fund should be designed to meet your target within your desired time frame and risk tolerance.
- Assessing Fund Performance and Fees: Review the fund’s historical performance and compare it with similar funds. Also, evaluate the fee structure, including management fees and other expenses, as these can impact your overall returns and cost-effectiveness of the investment.
- Evaluating the Fund Manager’s Expertise: Consider the experience and track record of the fund manager. A skilled manager with a history of navigating market fluctuations can enhance the fund’s performance and effectively manage risks in alignment with the fund’s objectives.
- Reviewing the Fund’s Asset Allocation Strategy: Examine the fund’s asset allocation approach to ensure it aligns with your risk tolerance and investment goals. Effective allocation should balance growth and risk, adjusting over time as the fund approaches its target date.
How To Invest In Solution Oriented Mutual Funds?
To invest in solution-oriented mutual funds, start by defining your financial goals and time horizon. Identify the specific life event or objective you want to address, such as retirement or education, to select an appropriate mutual fund.
Next, research various solution-oriented mutual funds available on Alice Blue. Compare their features, fees, and performance to choose the fund that aligns with your goals and risk tolerance. Consider consulting a financial advisor for personalized advice.
Once you’ve chosen a fund, you can purchase shares through your selected brokerage platform. Open an account if you don’t already have one, and invest according to your financial strategy. Monitor your investment periodically to ensure it remains on track.
Impact Of Market Trends On Solution Oriented Mutual Funds
Market trends impact solution-oriented mutual funds by influencing the performance of the underlying assets. A strong market can boost returns, while downturns may lead to reduced growth. Funds adjust their asset allocation to navigate these market fluctuations effectively.
These funds are designed to adapt to market conditions through strategic rebalancing. When market trends shift, fund managers adjust their investments to maintain alignment with the fund’s objectives and risk profile, aiming to mitigate adverse effects and capitalize on opportunities.
Long-term market trends affect the overall success of solution-oriented mutual funds. While short-term fluctuations are managed through tactical adjustments, the fund’s performance is ultimately shaped by its ability to adapt to and leverage enduring market trends for achieving financial goals.
How Does Solution Oriented Mutual Funds Perform In Volatile Markets?
In volatile markets, solution-oriented mutual funds aim to mitigate risk through diversified asset allocation. By spreading investments across various asset classes, these funds reduce the impact of market swings on overall performance, striving to maintain stability.
Fund managers actively adjust asset allocations in response to market volatility. They may shift investments between equities, bonds, and cash to balance risk and return, ensuring the fund remains aligned with its financial goals despite market fluctuations.
Despite these strategies, solution-oriented mutual funds can still experience performance fluctuations during extreme market volatility. Their effectiveness depends on the manager’s ability to adapt and the fund’s underlying investment strategy in navigating turbulent conditions.
Advantages Of Solution Oriented Mutual Funds
The main advantages of solution-oriented mutual funds include goal-specific investment strategies, automatic asset allocation adjustments, diversified portfolios, and a hands-off approach to investing. These benefits help investors stay focused on their financial objectives with reduced management effort.
- Goal-Specific Investment Strategies: Solution-oriented mutual funds are designed with specific financial objectives in mind, such as retirement or education. This focus ensures that investments are tailored to meet targeted goals, enhancing the likelihood of achieving them.
- Automatic Asset Allocation Adjustments: These funds automatically adjust their asset allocation over time, transitioning from growth-oriented to more conservative investments as the target date approaches. This gradual shift helps manage risk and align with the fund’s specific objectives.
- Diversified Portfolios: Solution-oriented mutual funds offer built-in diversification by investing across multiple asset classes, such as equities, bonds, and cash. This diversification helps reduce risk and smooth out returns, protecting the portfolio from significant losses.
- Hands-Off Approach to Investing: Investors benefit from a hands-off investment strategy with solution-oriented mutual funds, as fund managers handle asset allocation and adjustments. This convenience allows investors to focus on their financial goals without needing to actively manage their investments.
Contribution Of Solution Oriented Mutual Funds To Portfolio Diversification
Solution-oriented mutual funds contribute to portfolio diversification by blending various asset classes, such as equities, bonds, and cash equivalents, into a single investment vehicle. This mix helps spread risk and reduces the impact of market volatility on your overall portfolio.
These funds are designed with specific goals in mind, such as retirement or education. By incorporating a range of assets and adjusting their allocation over time, they offer a balanced approach to achieving targeted financial objectives while maintaining diversification benefits.
Who Should Invest In Solution Oriented Mutual Funds?
Solution-oriented mutual funds are ideal for investors with clear, long-term financial goals, such as retirement, education, or major life events. They offer a structured approach to achieving these objectives by automatically adjusting investments over time to align with specific targets.
These funds suit those who prefer a hands-off investment strategy, as they manage asset allocation and risk based on predefined goals. Ideal for individuals seeking a disciplined, goal-focused approach without needing to frequently monitor or adjust their investments.
Impact Of Manager Expertise On Solution Oriented Mutual Funds Performance
Manager expertise significantly influences the performance of solution-oriented mutual funds, as skilled managers adeptly navigate market conditions and adjust asset allocations to meet fund objectives. Their experience can enhance decision-making, leading to better returns and alignment with financial goals.
Experienced managers also bring insights and strategic adjustments that improve risk management and capital growth. Their ability to analyze market trends and implement effective strategies can positively impact the fund’s performance, ensuring it remains on track to achieve its specific targets.
FAQs – Solution Oriented Mutual Funds
Solution-oriented mutual funds are investment vehicles designed to achieve specific financial goals, such as retirement or education. They provide a diversified portfolio and adjust asset allocation over time to align with the fund’s target date and objectives.
Top Solution Oriented Mutual Funds #1: SBI Magnum Children’s Benefit Fund-Investment Plan
Top Solution Oriented Mutual Funds #2: ICICI Pru Child Care Fund-Gift Plan
Top Solution Oriented Mutual Funds #3: Aditya Birla SL Bal Bhavishya Yojna
Top Solution Oriented Mutual Funds #4: Axis Children’s Gift Fund-Compulsory Lock in
Top Solution Oriented Mutual Funds #5: Axis Children’s Gift Fund-No Lock in
These funds are listed based on the Highest AUM.
The best Solution Oriented Mutual Funds based on expense ratio include Tata Young Citizen Fund, LIC MF Children’s Fund, ICICI Pru Child Care Fund-Gift Plan, Axis Children’s Gift Fund-Compulsory Lock in, Axis Children’s Gift Fund-No Lock in.
A solution-oriented fund works by combining various asset classes into a diversified portfolio tailored to a specific financial goal. It adjusts its asset allocation over time, becoming more conservative as the target date approaches, to manage risk and achieve the goal.
The tax on solution-oriented mutual funds depends on the type of fund and the investor’s country. Generally, capital gains, dividends, and interest income are taxed. In some countries, tax benefits may apply if the fund is designed for specific long-term goals.
Solution-oriented mutual funds often have a lock-in period, typically ranging from 3 to 5 years, during which investors cannot redeem their investments. This lock-in ensures that funds are used for their intended long-term goals, such as retirement or education.
To invest in solution-oriented mutual funds, identify your financial goal and time horizon, research suitable funds through Alice Blue, open an investment account, and purchase shares. Regularly monitor the fund to ensure it aligns with your objectives.
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